BackEicher Q4 net profit rises 71% to Rs334 crore
Eicher Motors reported a 71.3% increase in its consolidated net profit at `334.5 crore for the March quarter on account of robust sales across business verticals
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New Delhi: Eicher Motors on Thursday reported a 71.3% increase in its consolidated net profit at ₹ 334.5 crore for the March quarter on account of robust sales across business verticals.
The company, which had posted a net profit of ₹ 195.28 crore during the same period of previous fiscal, plans to invest ₹ 400 crore in VE Commercial Vehicles (VECV) segment for capacity expansion during the current fiscal. Total income rose to ₹ 3,764.9 crore during the quarter under review, up 46.6%, from ₹ 2,568 crore for the same period last fiscal, Eicher Motors said in a statement.
For entire 2015-16 fiscal, the company posted a net profit of ₹ 1,082.6 crore as compared with ₹ 671.5 crore in the previous year. Total income during the fiscal stood at ₹ 13,120.7 crore, while the same stood at ₹ 9,382.1 crore a year ago.
Commenting on VECV’s performance, Eicher Motors Managing Director & CEO Siddhartha Lal said the fourth quarter was one of the best quarters for the commercial vehicle industry in the last few years. “VECV had a stellar last quarter performance where it grew by 38.1% outpacing the industry growth of 27.6% in quarter ended March 2016," he said.
VECV posted a strong growth in both the heavy duty segment and light and medium duty segments, Lal said. “We will be investing ₹ 400 crore in VECV towards product development and capacity expansion in FY 2016-17," he added.
Besides, the company’s two-wheeler arm Royal Enfield also posted its best-ever sales performance in the March quarter. During the period, the niche bike maker sold 1,48,185 motorcycles, registering its best-ever quarterly sales and posting a growth of 59.6% over 92,845 motorcycles sold in the same period last year.
Eicher Motors shares today closed at 0.30% lower at ₹ 19,687.45 apiece on BSE.
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